CCI rejects ISWAI plaint against excise department
It is also stated that the State’s policy decisions are outside the purview of the commission’s jurisdiction.
VIJAYAWADA: The Competition Commission of India (CCI) has rejected a complaint filed by International Spirits and Wines Association of India (ISWAI) against the Prohibition & Excise Department, Government of Andhra Pradesh, and the Andhra Pradesh State Beverages Corporation Limited (APSBCL).
It said the allegations of abuse raised by ISWAI are not found to be validated and no case of contravention of provisions of Section 4 of the Act can be stated to have arisen on the part of the respondents warranting an investigation in the matter.
The CCI was of the view that no case of contravention of the provisions of the Act is made out against the respondents, and ordered the matter to be closed forthwith in terms of the provisions contained in Section 26(2) of the Act.
It observed that the main allegation of ISWAI relates to arbitrary procurement of alcoholic beverages and imposition of unfair and exploitative terms by the respondent on suppliers/manufacturers of alcoholic beverages, who are members of the informant in AP, which is in contravention of Section 4 of the Act.
Countering the allegations made, APSBCL and the excise department said the complaint was with an intention to colour the mind of the CCI and is an attempt to vouch tender/contractual issues as competition law violations. It is also stated that the State’s policy decisions are outside the purview of the commission’s jurisdiction.